Zaandam, the Netherlands – On January 16, 2014, Ahold announced that Ahold Europe would no longer exist as a separate business division.
This step was taken to allow management to focus on the Albert Heijn business to enhance its customer proposition. The company also announced, that it would continue to look for ways to streamline the organization’s head office functions as part of its Simplicity program.
After a detailed review, a number of head office support roles will be made more efficient, and the commercial activities at Albert Heijn will be streamlined. This will result in approximately 130 people who will need to leave the company in the Netherlands. This is part of a total of 210 roles that will cease to exist, a number that includes vacancies, temporary contracts, and natural attrition.
A severance agreement has been reached with the Ahold Netherlands Central Works Council and the “VAHP” (Vereniging Ahold Hoger Personeel). The company is informing associates in Zaandam today, and the unions will also be notified of the planned changes.
Currently, Ahold employs approximately 222,000 people globally, of which 94,000 are based in the Netherlands, with 1,500 associates working at its Zaandam head office.
Cautionary notice
This press release includes forward-looking statements, which do not refer to historical facts but refer to expectations based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those included in such statements. These forward-looking statements include, but are not limited to, statements as to refocus of Ahold Europe operations, opportunities for growth, streamlining and simplification of the organization's support services, customer proposition and organizational capabilities. These forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by the forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond Ahold’s ability to control or estimate precisely, such as the effect of general economic or political conditions, fluctuations in exchange rates or interest rates, increases or changes in competition, Ahold’s ability to implement and complete successfully its plans and strategies, the benefits from and resources generated by Ahold’s plans and strategies being less than or different from those anticipated, changes in Ahold’s liquidity needs, the actions of competitors and third parties and other factors discussed in Ahold’s public filings and other disclosures. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Ahold does not assume any obligation to update any public information or forward-looking statements in this press release to reflect subsequent events or circumstances, except as may be required by applicable laws. Outside the Netherlands, Koninklijke Ahold N.V., being its registered name, presents itself under the name of “Royal Ahold” or simply “Ahold”.
